Rep. Matsui Criticizes Bush Over Economy

Published 7:00 pm, Friday, March 14, 2003

President Bush is not providing responsible leadership at a time of economic stagnation, a senior Democrat on the tax-writing House Ways and Means Committee said Saturday.

Americans, already unsettled by the prospect of war, are anxious because of the stream of bad economic news, Rep. Robert Matsui of California said in the weekly Democratic radio address.

"What have President Bush and congressional Republicans proposed to do about these problems? The elimination of taxes on corporate dividends," Matsui said. "Picture an out-of-work dad trying to feed his family, or a working mom whose salary has remained flat even though the bills keep adding up. Will a dividend tax break help these families? Of course not."

Matsui said Bush's tax plan would add to the national debt and noted that many economists have said it would not stimulate the economy or help lift the stock market.

"This is a time for responsible leadership," Matsui said. "That's why we Democrats have proposed sensible economic policies that put American families first. We put forward an economic plan that puts money in people's pockets and helps get our economy moving again."

Matsui, who also is chairman of House Democrats' campaign committee, mirrored the steady criticism his party has aimed at Republican tax proposals and the president's 2004 budget proposal.

Bush's budget would mean $1.8 trillion in deficits over the next 10 years, without including the cost of a possible war with Iraq, Matsui said. And it would not provide enough money for local authorities to prepare for terrorist attacks, teacher training, after-school activities or financial aid for college students, he said.

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The president's tax cut, meanwhile, primarily would benefit people earning $1 million a year or more, who "would receive an average tax cut of $27,000 a year," Matsui said.